A federal appellate court issued a ruling Tuesday upholding Los Angeles' citywide billboard ban, handing a rare victory to the city in its uphill battle to regulate outdoor signs.
The U.S. 9th Circuit Court of Appeals said the city's 2002 outdoor advertising ban does not violate a sign company's 1st Amendment right to free speech, reversing a lower-court ruling.
Outdoor advertising company Metro Lights LLC had argued that the city could not prohibit new "off-site" signs -- images that advertise products not sold on the immediate property -- while at the same time selling advertising space on city-owned bus benches and kiosks. Metro Lights had accused the city of auctioning off "1st Amendment rights to the highest bidder."
"This is strong, if rather sloganeering, language, but after reviewing the case law on which Metro Lights relies, we believe it to be little more than a canard," the court wrote.
Paul E. Fisher, the Newport Beach attorney who represents Metro Lights, said his client had not decided whether to appeal the decision. The opinion, if upheld, could influence lawsuits over municipal sign laws across the nation, Fisher said.
"It's certainly a significant ruling, and it is a blow to the outdoor advertising industry," he added.
The ruling would have the force of law only in the nine Western states that fall under the 9th Circuit's jurisdiction -- California, Nevada, Arizona, Oregon, Washington, Idaho, Montana, Alaska and Hawaii. But lawyers with City Atty. Rocky Delgadillo said cities as far away as New York had been waiting to see what the 9th Circuit would do. In addition, at least five other lawsuits in Los Angeles have referenced the Metro Lights case, said Deputy City Atty. Kenneth Fong.
The ruling comes as the city's elected officials struggle to limit the size, location, brightness and sheer number of new signs. Since the ban was approved seven years ago, Delgadillo has had to respond to more than a dozen lawsuits, including one that led to a legal settlement allowing as many as 840 billboards owned by CBS Outdoor and Clear Channel Outdoor to be converted to a digital format.
Last year, a federal judge sided with World Wide Rush, a firm that argued that the city cannot ban billboards while allowing certain exceptions, such as a zoning district near Staples Center that permits outdoor signs. That ruling, which is on appeal, still prohibits the city from enforcing its 2002 billboard ban.